“I was looking at forecasts yesterday that said there wouldn’t be a month by the end of 2023 that the price of TV advertising wouldn’t go up.” Gareth George, head of media at Confused.com, explained to an audience at the Campaign TV Advertising Summit 2022.
George was speaking at a panel discussion, in partnership with Samsung Ads, titled The Business Case For TV Advertising – How To Measure And Maximize Your TV Spend To Deliver Value.
“The ROI is flat,” George continued, “but the price is exploding. We brands need to respond to that. We need to be smarter in how we plan, buy and measure. There’s also a role for creative teams Because if you buy fewer ads… improve the ads, so they’re more effective.
“There is a case for [linear] TV advertising, for now,” said Lois Wright, brand marketing manager for Premier Inn. “It was that classic thing of, once in a while, thinking maybe we should just try digital. Then after 18 months you realize [some] the indicators begin to decline. For Premier Inn, we must be constantly in mind. But it’s also the metric that helps provide that ongoing investment in television. We always talk about the fact that research and television are linked; when you use the television, you see your [search] conversions are growing and improving.
Finding ways to improve mixed linear and on-demand advertising, using the benefits of both linear and video-on-demand work, was a theme throughout the day. Samsung’s CTV platform sales manager Chris Kleinschmidt used data from a range of high-end food delivery brands to make his point.
About 45% of Samsung smart TV owners, he explained, watch less than three hours of linear TV per month. It’s extremely difficult for brands using traditional TV media buying strategies to reach them. By moving from a traditional media plan to one that takes an integrated approach across linear and programmatic video, you can overcome this challenge.
Confidence and Opportunity
Jake Dubbins, panel member and co-founder of the Conscious Advertising Network, pointed out that, especially in an era of rising prices, streaming content gives brands of all sizes TV options. “Fragmentation is an opportunity for these brands,” he said. “If you take a brand like vegan egg substitute Crackd, it could normally never afford to appear on your TV screen. But thanks to streaming content, it was recently the most successful advertiser of Sky for brand awareness.”
Kleinschmidt emphasized the importance of data and privacy if advertisers are to realize the full potential of on-demand and streaming environments. Smart TVs, he explained, can provide advertisers with a wide range of household data, from geographic location to channels, programs and apps watched, through a combination of device data and recognition data. Automatic Content (ACR). Importantly, households can update their data and privacy preferences in our privacy choices app at any time.
But for brands to use this data, consumers must opt in. It requires trust. And you can only build trust if you have strong and transparent privacy standards. Given that within four or five years 90% of Britons will have smart TVs, the industry needs to start creating these standards now.